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2001 Special 301 Report 1 (2001)

handle is hein.trade/spthonerp2001 and id is 1 raw text is: 2001 SPECIAL 301 REPORT

United States Trade Representative Robert B. Zoellick today announced the results of the 2001
Special 301 annual review, which examined in detail the adequacy and effectiveness of intellectual
property protection in approximately 80 countries, the largest number of countries ever reviewed. In
announcing the results of this year's review, Ambassador Zoellick stressed Ukraine's persistent failure
to take effective action against significant levels of optical media piracy and to implement adequate and
effective intellectual property laws. Ukraine was identified as a Priority Foreign Country on March 12,
2001, and an investigation was initiated under Section 301 of the Trade Act of 1974. Failure by
Ukraine to adequately address the problem of pirated optical media production within three months of
the initiation of the 301 investigation could lead to the imposition of trade sanctions. In addition, failure
to adequately protect intellectual property rights could jeopardize Ukraine's efforts to join the World
Trade Organization (WTO) and seriously undermine its efforts to attract trade and investment. The
U.S. Government will remain actively engaged with Ukraine during the course of the investigation to
encourage the nation to combat piracy and to enact the necessary intellectual property rights legislation.
Ambassador Zoellick announced that the focus of this year's report is highlighting the progress that has
been made over the past year toward resolving outstanding bilateral concerns identified through
previous Special 301 determinations or previously announced WTO dispute settlement cases, either
through full utilization of the dispute settlement process or through consultations. Specific progress has
occurred in a number of countries over the past year, including Italy, Turkey, Spain, Peru, Moldova,
Guatemala, Macau, Hong Kong, and Ecuador. In addition, the report highlights the resolution of WTO
dispute settlement procedures with Denmark, Greece and Ireland. A total of 14 intellectual property
complaints have been filed by the United States in the WTO since 1996.
The Special 301 report addresses significant concerns in such trading partners as India, Hungary,
Taiwan, the Dominican Republic, Korea, Lithuania, the Philippines, Costa Rica, Russia, Egypt, Israel,
Saudi Arabia, UAE and Uruguay. In addition the report notes that the United States will consider all
options, including but not limited to initiation of dispute settlement consultations with countries that do
not appear to have implemented fully their obligations under the WTO Agreement on Trade-Related
Aspects of Intellectual Property Rights (TRIPS Agreement). Such countries include Hungary, the
Andean Community, the Dominican Republic, India, Israel and the Philippines.
In this year's review, USTR devoted special attention to reducing production of unauthorized copies of
optical media products such as CDs, VCDs, DVDs, and CD-ROMs, in Ukraine, Malaysia and
Taiwan in particular. In addition, USTR continued to focus on other critically important issues including
proper implementation of the TRIPS Agreement by developing country WTO Members, as required
by January 1, 2000, and full implementation of TRIPS standards by new WTO Members at the time of
their accession. USTR also continued to encourage countries to ensure that government ministries use
only authorized software.
Over the past year, considerable progress was made by many developing countries and by newly
acceding WTO Members toward implementing TRIPS obligations. Nevertheless, full implementation

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